M a r k e t i n g St rat egy 1 0 1

Development & Execution of an Integrated Marketing Strategy

Marketing Basics: The Four Ps

IntroductIon
Contrary to popular belief, Marketing is neither a science nor an art. Rather, Marketing is a process; a process of combining art and science through the application of common sense. There is a science to the accumulation and interpretation of market data and the psychology of consumer behavior. There is an art to translating data into a Message that entices consumers to act. Some might even say there is a science to how and why we select the promotional channels we do. However, the process of combining these effectively is based in common sense. Is it really that simple? Yes. While it is a very involved process requiring an abundance of common sense, the process itself is simple. However, to make the assumption that Marketing does not require experience and expertise would be a mistake. Marketing is an in-depth discipline relating to four primary points, or The 4 Ps of Marketing, Product, Pricing, Placement and Promotion. These expand exponentially to encompass almost everything that surrounds us from the acronyms we use to the movies we see to the reason for the applications on our iDevice. While DMB Realty Network chooses to focus our expertise in the real estate industry, the universality of Marketing is understanding the market and consumers in order to initiate a Call-to-Action. The process of developing and communicating that motivation begins with creating an Integrated Marketing Strategy, regardless of the industry. Furthermore, as the purpose of a marketing strategy will vary by industry, business type, end user and goal, there are too many variables, without the understanding of which, no credible marketing professional could provide a single guide to achieving results. Therefore, through this White Paper: Development and Execution of an Integrated Marketing Strategy, we hope to provide an overview of the foundation required to create a strategy, the basic steps of creating that strategy and to provide examples of the tools available to implement a strategy. Along the way, we will provide insight into the variables that must be considered throughout the development process. Ultimately, the purpose of integrating a strategy, no matter the industry or desired result, is to ensure that all the channels are working in sync to convey a cohesive, consistent Message that will motivate your Target Audience to act. The process begins with a series of questions, the most important of which is what is the PURPOSE of your marketing strategy? What specifically are you trying to achieve? Once you have the answers it is our contention that the following information will serve as a guide to help you construct and implement an integrated marketing strategy.

Product
The goods or services offered.

Price
The price for a good or service.

Place
The distribution channel through which a product or service is available.

Promotion
The advertising or selling of the product or service.

Common Sense
Defined by Merriam-Webster as, sound and prudent judgment based on a simple perception of the situation or facts.

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Definitions

MarketIng BasIcs
Marketing, like anything else, requires a solid foundation. In Marketing, that foundation begins with the answers to the questions: What? Who? Where? and How much?
Product Definition: What are you selling?
What type of good is it Consumer Product, Durable Good, Investment ? What does it do? What is the value proposition?

Call to Action (CTA) Words that urge the reader, listener, or viewer of a sales promotion message to take an immediate action, such as Write Now, Call Now, or (on Internet) Click Here. A retail advertisement or commercial without a call-to-action is considered incomplete and ineffective.

Target Market Definition: Who are you selling it to?

What is their demographic profile? What is their psychographic profile? Where do you find them? (Market Research) What is the best way to reach them? (Advertising Tool) What is the best way to talk to them so they act on your timeline? (Messaging)

Distribution Channel Definition: Where are you selling it?

Direct? Retail? eCommerce?

Price Definition: How much does it cost?

Marketing Communications Relates directly to the Promotion part of the Four Ps, and includes Advertising, Branding, Direct Marketing, Graphic Design, Packaging, Publicity, Public Relations, Sales Promotion and Online Marketing and all points in between.

Each of the above questions leads to a series of additional questions, and those questions to more questions. Until they are all answered, you cannot begin to build an effective and cohesive integrated marketing strategy. Finding, defining and redefining the answers to these questions, and their subsequent subsets, is tantamount to developing the best promotional strategy. The right strategy to achieve the goals of the overall Marketing Plan is dependent first on your foundation, next on your Message and finally, on your communications strategy. The Integrated Marketing Strategy discussed herein is directly associated with the process of Promotion. So our integrated strategy is specifically for Marketing Communications, that is, everything related to conveying the Message. So what is an Integrated Marketing Strategy? Simply put, it is a strategy that integrates all the promotional Channels and Tools so they are linked and working in sync. As the chart on the following page illustrates, there are many strategies, tools and channels to consider. All are good, useful and add value in some way. However, not all are intended or useful for every purpose. For example, Twitter is intended to be a pull tool rather than a push tool. What that means is, Twitter is intended to bring information to you, rather than from you. And while Facebook has now close to 800 million worldwide users, it does not mean businesses are necessarily looking for other businesses on Facebook the key word to always remember when evaluating Facebook for use is the word social; Facebook is a key social media. At the core is the Message, this is the information that is sent out through all the Channels; these are Advertising, Personal Selling, Sales Promotion, Public Relations, Direct Marketing and Exhibitions. Each Channel has a series of Tools, such as Advertising has TV, which can include local TV, Cable or Satellite, either online or off. Direct Marketing includes E-mail or sending postcards via regular mail; Personal Selling includes attending Trade Shows, scheduling Events or doing Sales Presentations. The Internet and Social Media offer tools such as Facebook, YouTube, Twitter, LinkedIn and others. As the chart on the following page illustrates, these work in tandem to spread the Message.
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Marketing Message A Marketing Message is what grabs the attention of your audience and conveys your value proposition. In order to be effective, a message must contain a hook, a call to action (CTA) - once you have the consumers attention you must give them a reason to act. Social Media Websites and applications used for social networking / interaction with highly accessible and scalable publishing techniques.

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developIng

an

I n t e g r at e d M a r k e t I n g s t r at e g y

There are many considerations to be made, but like everything else in marketing, the development of a strategy is a process. Assuming you have answers to the questions, Who, What, Where and How much; and assuming all the basics are in order, Product or Service, Pricing and Placement (Distribution Channel), then you can move into Promotion.

FIrst thIngs FIrst

Website Review The most critical piece of your strategy is your website. It is in many cases the first interaction the world will have with your company and/ or Brand. It is critical that your website effectively and efficiently convey your Message. Who you are, what you do and what you have to offer. Naturally, how visitors use your site will determine exactly how your site is developed, for instance, is it informational or eCommerce? No matter what the purpose of your site, whether information dissemination, information capture or eCommerce, you will want to make sure the following are in order:

This is an example of an integrated strategy developed for a client operating in the luxury residential real estate industry.

Search Engine Optimization Ease of Use Clear, concise Message Easy to find Services

Microsite(s) (landing pages designed for specific campaigns) News & Updates (Blog, Press Room) Social Media Links Robust Metrics & Analytics System Integration with Customer Relationship Management system (CRM)

Simple (and quick) Registration Process

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Definitions
Search Engine Optimization (SEO) This is the process of improving the visibility of a website or webpage in search engines through un-paid or organic methods such as optimizing website content. SEO also considers how search engines work and are being used, what terms people are using to search, what people are searching for and which search engines are preferred. Search Engine Marketing (SEM) SEM is a form of Internet Marketing that works to promote websites by increasing their visibility in search engine result pages (SERPs) through the use of SEO and paid placement such as contextual advertising, pay-per-click and paid inclusion.

In addition to serving as your primary public portal, your website will serve as the clearing house for every campaign you run. Whether Print, Public Relations, Direct Mail, eBlast, Radio, Out-of-Home (OOH) or YouTube, all interest will come back to your website. The fact is, your website is the foundation of your integrated strategy. Noteworthy: If you are running a specific, limited time promotional campaign, whenever possible, it is advisable to develop a specific landing page that provides details on your promotion and captures information on the visitor. It is important to always build momentum through consistency, relevance and quickly saying what you need to say to the audience. Also keep in mind that at the same time your prospective buyer is reviewing your website, he or she is also surveying several of your competitors. Search engines today will provide all consumers with several options inside your category ... all on the same page.

goals

and

BudgetIng

Social Media Marketing (SMM) Part of an integrated marketing communications strategy, Social Media Marketing is the use of the various applications, tools and technologies used for online social interaction to promote a product or service.

In order to begin to develop an effective, cohesive strategy that is, above all else, viable for your business, you must first define your goals. Once you know exactly where it is that you want to go, you must develop the budget you are willing to commit to achieve your goals. In order to effectively do this, consider the time commitment as well. Many companies err on the side of running campaigns in-house in order to reduce costs. This is not always advisable unless you have in-house experts. This is especially true as it pertains to Internet Strategy. We suggest you keep in mind that everyone has a different area of expertise; the field of marketing is quite vast, populated with advertising specialists, analysts, creative specialists, digital specialists and strategists, among many others. However, there is not always cross-over in discipline and capability. In short, not all marketers are creative and not all creative types are strategic; not all Advertising professionals understand Internet Marketing and not all Public Relations professionals are experts in Social Media. Similarly, not all marketing professionals are experts in Advertising or Public Relations.

selectIng resources
1. Research the agencies you are interested in working with to learn their areas of strength; 2. Ask other industry professionals for references; 3. Use an RFP process (Request for Proposal) to compare approach, capabilities and ensure equitable pricing; and 4. Understand what you need and want, agencies are subject to the direction they receive.

the process
Once your website is fine tuned, and you have defined exactly what it is you want to achieve, have selected the team to develop and implement the strategy, and created a budget, it is time to review the available Channels and Tools and align everything with your goals. Question: Answer: What is/are the best channel or channels to use? It depends entirely on the audience and purpose.

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Definitions
Promotional Mix These include the seven main aspects of selling: Advertising, Personal Selling, Sales Promotion, Public Relations, Corporate Image, Direct Marketing and Exhibitions.

As illustrated in the diagram on page three, there are several promotional channels from which to choose.
Advertising: Online and Offline Events / Personal Selling Sales Promotions Public Relations Direct Marketing Exhibitions

Advertising A process of presenting and promoting ideas, goods, or services by a company or sponsor using various public or private media. Personal Selling A process of helping and persuading one or more prospects to purchase a good or service or to act on any idea through the use of an oral presentation. Sales Promotion Media and non-media marketing communications that are employed for a pre-determined, limited time to increase demand, stimulate market demand or improve product availability. Public Relations Paid stimulation of supply for a product, service, or business unit by planting significant news about it or a favorable presentation of it in the media. Direct Marketing Direct Marketing is a channel-agnostic form of advertising that allows you to communicate directly to the target audience with a time dated offer. Exhibitions These are a series of try-outs; where potential Buyers try the product, such as model homes in real estate or food sampling at CostCo.

It is important to remember that in order to be effective, you must select the mix that will most efficiently reach your audience. Questions to consider:
Mass Market or Niche Market Product or Service Business to Consumer or Business to Business Demographics Psychographics Geography

Once you have selected the appropriate Promotional Mix, you must select the tools that will be most effective to spread your Message to your Target Audience. In order to provide an overview of the vehicles and tools available, we have separated communication channels by Offline and Online. It is important to note that there is a great deal of cross over between these, what varies is the manner in which the Message is disseminated and constructed. For example, you can advertise on Radio, traditionally, that is over the airwaves or you can choose Satellite radio, both offline vehicles. Or you can choose to advertise on streaming radio, online through the myriad of streaming radio choices that are free to the listener and funded by advertisers, just like traditional radio, such as Pandora.com. An example relevant to the real estate industry would be Out-of-Home (OOH) advertising (Billboards, Park Benches, vehicle wraps, etc.), or Digital Out-of-Home (DOOH), that uses the Internet to disseminate a Message to digital billoards across the country. Offline Advertising: Print (Digital Out-of-Home (DOOH), Magazines, Newspaper, Out-of-Home (OOH)), Radio (Free or Satellite), and TV (Cable, Free or Satellite). Public Relations: Media Pitching and Press Releases Online Search Engine Marketing (SEM): Adwords, Article Distribution, Pay-per-Click, Search Engine Optimization (SEO), Social Media Marketing (Blogs, Podcasts, Social Networks Facebook, Twitter, LinkedIn, Orkut, etc.- Social Media Releases), Video (YouTube). e-Mail (eBlasts): Invitations, Newsletters, Postcards, Press Releases, Surveys, Video (YouTube, Yahoo Video, Flickr, etc.)

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t h e I M p o rta n c e o F c r e at I v e d e v e l o p M e n t
Do not confuse the development of an integrated marketing strategy with the Creative Development process. We cannot stress enough the importance of the Creative Development process. This process is intended to translate the concepts, ideas and purpose into visual images and tailored copy/content. These must be attractive and compelling so they spread from one person and one medium to the next. Imagine the integrated marketing strategy as a train, the Channels are the stations on the route, selected by the types of people that will be waiting at the stations, the people getting off the train at each station are the Tools carrying the Message to the other people at the station and beyond. The Message can be the watch theyre wearing, the bag theyre carrying or their style of suit. The Creative Development process is the closet where everything comes from. The Creative Team is the stylist that put it all together to create a look and feel that will get everyones attention. The Creative Development process is a specialty. We recommend finding a firm whose size, expertise and experience best matches your budget, goals, industry and of course, your style.

It is important to note that while your core Message may be the same, the specific Channel and Tool will determine the manner in which the Message is not only delivered, but also the manner in which the Message is constructed. Again, common sense if your Message requires a visual identification in order for the audience to relate to it, you should not run a radio campaign no matter how cost effective it might seem. In this event you would focus on visual media, such as YouTube or targeted Cable. If youre a large consumer goods company you might run a Super Bowl commercial, then flood Social Media and YouTube with the commercial, supported by radio ads driving your Target Audience to a website where they can see what the fuss is about. If youre not a large consumer goods company, you bypass the Super Bowl placement and focus on Social Media and YouTube to disseminate your message. If youre targeting other businesses, then your strategy is Business-to-Business and should be focused on those types of businesses that you want to target through direct channels. Because of the nature of business, social media is often not the best way to go depending on your industry, LinkedIn may be a good channel for pushing information out and driving traffic to your website, but a Direct Marketing approach may be more effective, and well direct. The possibilities and media mix combinations are endless. However, what is most important is that your strategy is aligned with your goals, that your tools are aligned with your budget, and that you are measuring results to maximize your return on investment. Finally, it is vital that you have a lead management process in place to ensure that all your strategizing and expense is working to achieve your ultimate goals; more customers, sales, and revenue. Assuming youve answered all the questions weve presented and addressed all the potential issues, you are ready to put together a strategy that will effectively reach your Target Audience. So at this point, what do you do? That is a very good question. However, what you need to answer first is: What are you selling? Who are you selling it to? Where are you selling it? How much does it cost? We have come full circle. So we go back to the beginning and start asking the questions until we have the answers that will allow us to move forward. Marketing is a process, not just a science. Or an art.

November 2011

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Contact
DMB Realty Network LLC
20789 N. Pima Road Suite 250 Scottsdale, Arizona 85255 (P) 480.515.0148 (F) 480.502.6903

conclusIon
The fact is, and as you can see from the process described here, there is no magic bullet or one size fits all solution to an Integrated Marketing Strategy. Rather, marketing is akin to an artistic mosaic that you construct out of hundreds of pieces of information or if you prefer, a menu from which you select the items that will best satisfy your needs. There are many variables to consider and the most effective strategies will be those that meticulously consider each option as they directly relate to your goals. At DMB Realty Network it has been our experience that the Channels and Tools are as effective as the Message they convey and the manner in which they are implemented. Finally, we remind you that the process is ongoing; allowing you to assemble the strategy and tools that best suit your goals, so you can pull the trigger, measure, adjust, and do it again. We invite you to expand your perspective as our Marketing Strategy 101 series of White Papers grows; register at www.DMBRealtyNetwork.com.

Donald D. Kent

President & CEO DKent@DMBRealtyNetwork.com

Angelina Kirkpatrick

VP of International Sales AKirkpatrick@DMBRealtyNetwork.com

Ben Jenkins

VP of Sales Development BJenkins@DMBRealtyNetwork.com

a B o u t d M B r e a lt y n e t w o r k l l c
DMB Realty Network is an international sales and marketing company providing solutions in the luxury residential real estate industry. Our team of professionals specializes in turnkey management offering capabilities from Advisory to Integrated Management and Brokerage Operations. The range of our services encompasses all areas of Strategic Sales and Marketing Advisory, Integrated Marketing and Sales Management Services, Brokerage Operations, Project Recruiting / Staffing and Sales Training. DMB Realty Network specializes in identifying and addressing the needs of the affluent real estate marketplace throughout the United States, Canada and Mexico as well as in Central and South America. We have a history of achieving success for our clients; the DMB Realty Network team has marketed and sold more than $3 billion in luxury real estate. We deliver support and guidance based on years of experience. We implement effective tactical strategies based on decades of industry expertise. We quickly and effectively evaluate needs to devise the plan that will move a project forward.

www.DMBRealtyNetwork.com
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the Facts1 aBout socIal MedIa

In the US, there are 149M active Facebook users, 70% log in once a day Ogilvy & BuddyMedia Social media accounts for 25% of all time spent online over 35 minutes per hour Nielsen Facebook accounts for 8.93% of all website visits in the US. All of Googles properties including YouTube, Gmail, Google accounts for 9.85% Experian Hitwise 64% of Facebook users have liked a brand on Facebook - ExactTarget By 2012, half of the worlds Internet users, 1 billion people, will have a Facebook account TIME (12/7-1/3 edition) Facebooks fastest growing demographic is 17-35 year olds TIME 43% of Facebook users who unlike a brand do so because of too much push marketing Exact Target 46% of Internet users worldwide interact with social media on a daily basis -TNS 25% of social media users are more likely to look into a brand advertising on social media Adology 15% of these users are more likely to purchase from social media advertisers Adology 38% of Small & Micro Businesses would use social media more if they had more time or a convenient management solution Vistaprint 46% of micro business owners utilize social media Vistaprint $4.26 billion will be spent on social media marketing globally in 2011 eMarketer 17% of US online consumers have created a Twitter account ExactTarget 48% of Twitter users check their account at least once a day Exact Target 71% of Twitter users expect to receive marketing messages via the platform Exact Target 41% of users who have unfollowed a brand on Twitter did so because they were over-marketed to ExactTarget 46% of Twitter users meet with friends more in person over 2009 Social Mythbusting 78.6% of consumers have joined a companys community to get more information on the company Universal McCann 71% of community members say they are more likely to purchase from the brand Universal McCann 66% of company community members note that the community has made them more loyal to a brand Universal McCann 63% of corporate community members note that they will recommend brand to friends/family Universal McCann Fords 2011 Explorer launch on Facebook generated a 200% greater return than a Super Bowl ad Social Media Case Studies, Stories, Perspectives The Facts bode very well for our Business-to-Consumer strategies, but how does Social Media fare in Business-to-Business? Stay tuned.

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The Facts presented herein are based on secondary research and accurate to the best of our knowledge as of October 2011.